South Korean refiner S-Oil said on Thursday that it had signed a long-term contract with Saudi Aramco, Saudi Arabia’s state-owned oil company, to receive crude oil for 20 years.

The deal comes as energy-hungry Asia’s fourth-largest economy grapples with possible disruptions to oil supplies from Iran on toughened U.S. sanctions.

The long-term supply contract is “highly unusual” in a market where one-year supply contracts are the norm, and will allow S-Oil to “secure the entire crude volume required to run its refinery operations for the next 20 years,” the refiner said in a statement.

Source: Reuters Africe